The Bar of Gold

A worker is to perform work for you for seven straight days. In return for his work, you will pay him 1/7th of a bar of gold per day. The worker requires a daily payment of 1/7th of the bar of gold. What and where are the fewest number of cuts to the bar of gold that will allow you to pay him 1/7th each day?

Hint

Answer

Day One: You make your first cut at the 1/7th mark and give that to the worker.
Day Two: You cut 2/7ths and pay that to the worker and receive the original 1/7th in change.
Day three: You give the worker the 1/7th you received as change on the previous day.
Day four: You give the worker 4/7ths and he returns his 1/7th cut and his 2/7th cut as change.
Day Five: You give the worker back the 1/7th cut of gold.
Day Six: You give the worker the 2/7th cut and receive the 1/7th cut back in change.
Day Seven: You pay the worker his final 1/7th.